HomeMy WebLinkAbout09-27-99 Community & Economic Development Qtommfttu 2. port:
Community and Economic Development Committee
IN the common Council of the City of Pout j /hub:
The September 27, 1999 meeting of the Community and Economic Development
Committee was called to order by Council Member Roland Kelly, Chairperson of the
Committee at 4:00 p.m. in the Council informal meeting room.
Persons in attendance included Council Members: Aranowski, Kelly, Pfeifer, Coleman,
King, Sniadecki, Varner, Ujdak, and Hosinski; Mike Beitzinger, Robert Hunt, Jean
Troutman-Poole, Jack Dillon, Phil Faccenda, William McGlone, Paul Dodson Khadijah
Muhummand, John Broden, Mike Urbanski, Tom Dockery, Tim Baker, Sarah Phillips,
Terry Bland, and Kathleen Cekanski-Farrand.
Council Member Kelly noted that the first item on the agenda was to review Bill No. 99-89
which is a five(5)year residential real property tax abatement request for the properties
located at 1613 and 1709 West Ewing Avenue,2002 South Prospect Street,and 11801 and
1805 North Elmer Street for G&M Properties.
Mike Beitzinger reviewed his September 13, 1999 report(copy attached)which noted that
Garden Homes intends to build five(5)new homes for a total project cost of$375,000.
The report concluded that the petitioner meets the qualifications under§2-77.1 of the South
Bend Municipal Code.
Mr.Urbanski urged the Committee to grant the abatement request. In response to a
question from Council Member,Mr.Urbanski noted that 8-9 homes in the LaSalle and Elm
Road area have been sold with 8 additional homes on Spruce and Colfax.
Council Member Ujdak made a motion, seconded by Council Member King that Bill No.
99-89 be recommended favorably to Council. The motion passed.
The Committee then reviewed Substitute Bill No. 99-90 which is a five(5) year personal
property tax abatement request for the property located at 3702 West Sample Street for
Maverick Packaging, Inc.
Mike Beitzinger reviewed his September 16, 1999 report(copy attached) which noted that
the company was founded in 1996 and manufactures cosmetic projects which are sold to
motels and hotels. The new equipment is estimated to cost 60,000. The report
concluded that the petitioner meets the qualifications under § 2-84.2 of the South Bend
Municipal Code.
Mr.McGlone and Mr.Dodson then addressed the Committee and provided a recent article
from the 601tal WO 'Cribun on their venture (copy attached). In response to a
question from Jean Troutman-Poole, it was noted that the employees do not receive
benefits.
Council Member Ujdak made a motion, seconded by Council Member Sniadecki that
Substitute Bill No.99-90 be recommended favorably to Council. The motion passed.
Community and Economic Development Committee
September 27, 1999
Page 2
The Committee then reviewed Bill No. 99-91 which is a five(5)year personal property tax
abatement request for Lock Joint Tube,Inc./Keycorp Capital Leasing/Steel Warehouse,Inc
for the property located at 515 West Ireland Road.
Mike Beitzinger reviewed his September 17, 1999 report (copy attached) which noted that
the petitioner manufactures commercial steel tubing. The equipment cost is projects to cost
between $ 2.5 and $ 3.5 million. The report concluded that the petitioner meets the
qualifications under§ 2-84.2 of the South Bend Municipal Code.
Phil Faccenda,the attorney for the petitioner, made the presentation. He oted that this is
Phase I of a two(2)phase project,with Phase II taking place in 2001.
Council Member Kelly noted that the petitioner has been a highly suc ssful company
which provides quality employment for members of our community. ike Beitzinger
noted that the company was in bankruptcy in the 1980's and that th Petitioner has
continued to expand and enlarge its operations ever since.
Council Member King made a motion, seconded by Council Member Uj k that Bill No.
99-91 be recommended favorably to Council. The motion passed.
The Committee then reviewed Bill No. 99-92 which is a five(5)year pers al property tax
abatement request for the property located at 1215 South Walnut Street an Bill No. 99-93
which is a real property tax abatement request for the property locat at 1215 South
Walnut Street for Lock Joint Tube Inc and Steel Warehouse, et al.,respec vely.
Mike Beitzinger reviewed his report dated September 14, 1999 whic noted that the
proposed equipment will cost between$ 1.5 and$2.5 million and that 4- new permanent
full time positions would be created. The report concluded that the peti ioner meets the
qualifications for a ten (10) year real property tax abatement under § 2-82 of the South
Bend Municipal Code and a five(5)year personal property tax abatement under§ 2-84.2 of
the South Bend Municipal Code.
Mr. Faccenda gave further details and noted that the company is located near the Ice Box.
In response to a question from Jean Troutman-Poole, he noted that 50 of 240 employees at
the Ireland Road facility are minority and 6 of 45 at the Walnut facility are minority.
Council Member King made a motion, seconded by Council Member Sniadecki that Bill
Nos. 99-92 and 99-93 be recommended favorably to Council. The motion passed.
The Committee then reviewed Bill No. 99-94 which is a five(5)year personal property tax
abatement request for the property located at 4401 West Cleveland Road Extension for
Adapto-Indiana, Inc. and Bill No. 99-95 which is a ten (10) year real property tax
abatement request for the property located at 4401 West Cleveland Road Extension for
Cleveland Partners, L.P.
Mike Beitzinger reviewed his September 13, 1999 report which noted that the petitioners
propose to build a new 50,500 square foot manufacturing facility and then lease it. The
building cost is projected at$ 1.9 million and the new machinery and equipment cost is
Community and Economic Development Committee
September 27, 1999
Page 3
projected at$500,000. The report concludes that the petitioners meet the requirements of§
2-82 and§2-84.2 of the South Bend Municipal Code for the requested abatements.
Tom Dockery of Adapto and Tim Baker of Cleveland Partners then addressed the
Committee. They noted that Adopto has been in South Bend for over sixty (60) years.
The corporate office is in Phoenix, Arizona. Tax abatement and Training 2000$$will be
critical in their decision whether to stay in the area. They are 34% minority of which 26%
are Black and 7% are Hispanic.
Council Member Ujdak made a motion, seconded by Council Member Sniadecki that Bill
Nos. 99-94 and 99-95 be recommended favorably to Council. The motion passed.
Under miscellaneous business, Mike Beitzinger introduced Sarah Phillips to the
Committee,a new employee in the department.
Jean Troutman-Poole inquired into the status of the Living Wage Committee. Council
Member Kelly stated that the Mayor would have an announcement shortly on this topic.
Respectfully submitted,
Council Member Roland Kelly, Chairperson
Community and Economic Development Committee
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Attachments